Houston tech jobs to grow in 2025 as Texas leads U.S. in new tech employment

by the numbers

The Houston area is expected to employ 158,176 tech professionals this year, according to a new report by CompTIA. Photo via Getty Images.

Tech employment in the Houston metro area is expected to climb by more than two percent this year, according to a new projection.

CompTIA’s State of the Tech Workforce 2025 report forecasts the Houston area will employ 158,176 tech professionals this year, compared with an estimated 154,905 last year. That would be an increase of 2.1 percent.

These numbers take into account tech workers across all industries, not just those employed in the tech sector. Many of these professionals do work in the tech sector (40 percent), with the remainder (60 percent) employed in other sectors.

Even more impressive than the year-to-year increase is the jump in Houston-area tech employment from 2019 to 2025. During that period, tech employment grew 16.6 percent, according to the report.

The Houston area ranks eighth among major metro areas for the number of tech jobs expected to be added this year (3,271). Dallas rises to No. 1 for the most jobs expected to be added (projection of 13,997 new tech jobs in 2025), with Austin at No. 5 (7,750 new jobs) and San Antonio at No. 21 (1,617 new jobs).

On a state-by-state basis, Texas ranks first for the number of tech workers projected to be added this year (40,051)—up significantly from the 8,181 jobs estimated to be added in 2024—and second for the size of the tech workforce last year (972,747), the report says. The Lone Star State lands at No. 4 for the highest percentage (24 percent) of tech jobs expected to be added from 2025 to 2035.

Backed by a nearly $1.4 billion commitment from the state, the semiconductor industry is helping propel the growth of tech jobs in Houston and throughout Texas.

In 2023, the state launched the Texas Semiconductor Innovation Fund. The fund provides incentives to encourage semiconductor research, design and manufacturing in Texas. State lawmakers allocated $698.3 million for the fund. Another $660 million in state money will help establish semiconductor research and development centers at the University of Texas at Austin and Texas A&M University.

“Texas has the innovation, the infrastructure, and the talent to continue to lead the American resurgence in critical semiconductor manufacturing and the technologies of tomorrow,” Gov. Greg Abbott said in a release.

The Houston area is benefiting from the semiconductor boom.

For example, chip manufacturer Nvidia and electronics maker Foxconn plan to build a factory in Houston that will produce AI supercomputers.

Nvidia said in April that the AI supercomputers “are the engines of a new type of data center created for the sole purpose of processing artificial intelligence — AI factories that are the infrastructure powering a new AI industry.”

Meanwhile, tech giant Apple plans to open a 250,000-square-foot factory in Houston that will manufacture servers for its data centers in support of Apple’s AI business. The Houston plant is part of a four-year, $500 million nationwide expansion that Apple unveiled in February.

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This new report doesn't include any of the country's top tech hubs. Photo by Hero Images

Houston named among top 10 cities for tech professionals

Move over, Austin

Silicon Valley, San Francisco, and Austin may grab lots of glory as American tech hubs, but Houston, Dallas, and San Antonio blast past all three of them in a new assessment of the top cities for tech workers.

Personal finance website SmartAsset combed through five data factors for 201 U.S. cities — average salary, average cost of living, concentration of tech employment, jobless rate, and average pay versus average tech pay — to come up with its 2018 ranking of the top U.S. cities for tech workers.

Houston comes in at No. 10, up from No. 15 in 2017. As SmartAsset points out, federal data shows the typical tech worker in Houston makes $94,200 a year — 75 percent more than the typical Houston worker.

"One concern, though, if you live in Houston — a bachelor's degree is no guarantee of employment," the report from SmartAsset says.

Why? About 3.6 percent of residents who have bachelor's degrees are unemployed, according to SmartAsset.

Dallas comes in at No. 3, and San Antonio ranks No. 8. Austin is No. 19 on the list, which is up from No. 20 last year.

Topping SmartAsset's ranking is Columbus, Ohio, followed by Des Moines, Iowa. It's worth noting that Silicon Valley and San Francisco didn't crack the top 25, thanks in large part to the high cost of living in that region.

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This story originally appeared on CultureMap.

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Innovative Houston-area hardtech startup closes $5M seed round

fresh funding

Conroe-based hardtech startup FluxWorks has closed a $5 million seed round.

The funding was led by Austin-based Scout Ventures, which invests in early-stage startups working to solve national security challenges.

Michigan Capital Network also contributed to the round from its MCN Venture Fund V. The fund is one of 18 selected by the Department of Defense and Small Business Administration to participate in the Small Business Investment Company Critical Technologies Initiative, which will invest $4 billion into over 1,700 portfolio companies.

FluxWorks reports that it will use the funding to drive the commercialization of its flagship Celestial Gear technology.

"At Scout, we invest in 'frontier tech' that is essential to national interest. FluxWorks is doing exactly that by solving critical hardware bottlenecks with its flagship Celestial Gear technology ... This is about more than just gears; it’s about strengthening our industrial infrastructure," Scout Ventures shared in a LinkedIn post.

Fluxworks specializes in making contactless magnetic gears for use in extreme conditions, which can enhance in-space manufacturing. Its contactless design leads to less wear, debris and maintenance. Its technology is particularly suited for space applications because it does not require lubricants, which can be difficult to control at harsh temperatures and in microgravity.

The company received a grant from the Texas Space Commission last year and was one of two startups to receive the Technology in Space Prize, funded by Boeing and the Center for the Advancement of Science in Space (CASIS), in 2024. It also landed $1.2 million through the National Science Foundation's SBIR Phase II grant this fall.

Fluxworks was founded in College Station by CEO Bryton Praslicka in 2021. Praslicka moved the company to Conroe 2024.

5 Houston scientists named winners of prestigious Hill Prizes 2026

prized research

Five Houston scientists were recognized for their "high-risk, high-reward ideas and innovations" by Lyda Hill Philanthropies and the Texas Academy of Medicine, Engineering, Science and Technology (TAMEST).

The 2026 Hill Prizes provide seed funding to top Texas researchers. This year's prizes were given out in seven categories, including biological sciences, engineering, medicine, physical sciences, public health and technology, and the new artificial intelligence award.

Each recipient’s institution or organization will receive $500,000 in direct funding from Dallas-based Lyda Hill Philanthropies. The organization has also committed to giving at least $1 million in discretionary research funding on an ad hoc basis for highly-ranked applicants who were not selected as recipients.

“It is with great pride that I congratulate this year’s Hill Prizes recipients. Their pioneering spirit and unwavering dedication to innovation are addressing some of the most pressing challenges of our time – from climate resilience and energy sustainability to medical breakthroughs and the future of artificial intelligence,” Lyda Hill, founder of Lyda Hill Philanthropies, said in a news release.

The 2026 Houston-area recipients include:

Biological Sciences: Susan M. Rosenberg, Baylor College of Medicine

Rosenberg and her team are developing ways to fight antibiotic resistance. The team will use the funding to screen a 14,000-compound drug library to identify additional candidates, study their mechanisms and test their ability to boost antibiotic effectiveness in animal models. The goal is to move toward clinical trials, beginning with veterans suffering from recurrent infections.

Medicine: Dr. Raghu Kalluri, The University of Texas MD Anderson Cancer Center

Kalluri is developing eye drops to treat age-related macular degeneration (AMD), the leading cause of vision loss globally. Kalluri will use the funding to accelerate studies and support testing for additional ocular conditions. He was also named to the National Academy of Inventors’ newest class of fellows last month.

Engineering: Naomi J. Halas, Rice University

Co-recipeints: Peter J. A. Nordlander and Hossein Robatjazi, Rice University

Halas and her team are working to advance light-driven technologies for sustainable ammonia synthesis. The team says it will use the funding to improve light-driven catalysts for converting nitrogen into ammonia, refine prototype reactors for practical deployment and partner with industry collaborators to advance larger-scale applications. Halas and Nordlander are co-founders of Syzygy Plasmonics, and Robatjazi serves as vice president of research for the company.

The other Texas-based recipients include:

  • Artificial Intelligence: Kristen Grauman, The University of Texas at Austin
  • Physical Sciences: Karen L. Wooley, Texas A&M University; Co-Recipient: Matthew Stone, Teysha Technologies
  • Public Health: Dr. Elizabeth C. Matsui, The University of Texas at Austin and Baylor College of Medicine
  • Technology: Kurt W. Swogger, Molecular Rebar Design LLC; Co-recipients: Clive Bosnyak, Molecular Rebar Design, and August Krupp, MR Rubber Business and Molecular Rebar Design LLC

Recipients will be recognized Feb. 2 during the TAMEST 2026 Annual Conference in San Antonio. They were determined by a committee of TAMEST members and endorsed by a committee of Texas Nobel and Breakthrough Prize Laureates and approved by the TAMEST Board of Directors.

“On behalf of TAMEST, we are honored to celebrate the 2026 Hill Prizes recipients. These outstanding innovators exemplify the excellence and ambition of Texas science and research,” Ganesh Thakur, TAMEST president and a distinguished professor at the University of Houston, added in the release. “Thanks to the visionary support of Lyda Hill Philanthropies, the Hill Prizes not only recognize transformative work but provide the resources to move bold ideas from the lab to life-changing solutions. We are proud to support their journeys and spotlight Texas as a global hub for scientific leadership.”

Investment bank opens new Houston office focused on energy sector

Investment bank Cohen & Co. Capital Markets has opened a Houston office to serve as the hub of its energy advisory business and has tapped investment banking veteran Rahul Jasuja as the office’s leader.

Jasuja joined Cohen & Co. Capital Markets, a subsidiary of financial services company Cohen & Co., as managing director, and head of energy and energy transition investment banking. Cohen’s capital markets arm closed $44 billion worth of deals last year.

Jasuja previously worked at energy-focused Houston investment bank Mast Capital Advisors, where he was managing director of investment banking. Before Mast Capital, Jasuja was director of energy investment banking in the Houston office of Wells Fargo Securities.

“Meeting rising [energy] demand will require disciplined capital allocation across traditional energy, sustainable fuels, and firm, dispatchable solutions such as nuclear and geothermal,” Jasuja said in a news release. “Houston remains the center of gravity where capital, operating expertise, and execution come together to make that transition investable.”

The Houston office will focus on four energy verticals:

  • Energy systems such as nuclear and geothermal
  • Energy supply chains
  • Energy-transition fuel and technology
  • Traditional energy
“We are making a committed investment in Houston because we believe the infrastructure powering AI, defense, and energy transition — from nuclear to rare-earth technology — represents the next secular cycle of value creation,” Jerry Serowik, head of Cohen & Co. Capital Markets, added in the release.

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This article originally appeared on EnergyCaptialHTX.com.

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